SABO’s member companies identified the problem of soaring construction prices at the end of the 2000s and decided that SABO should produce a good and affordable alternative. However, municipally owned housing companies are subject to the Public Procurement Act (LOU), the purpose of which is to ensure that public funds are used in the best way through seeking out and benefitting from competition in the market in question. At the same time, the rules and regulations aim to give suppliers an opportunity to compete on equal terms in each procurement. SABO’s Kombohus is procured through a bidding contest, where winners must enter into framework agreements with SABO, and SABO’s members around Sweden can make contract calls under these agreements.
SABO has implemented three such procurements for ready-to-occupy apartment blocks: SABO’s Kombohus Bas, Plus and Mini respectively. The quality and energy performance of all of the buildings are good and they can be erected anywhere in Sweden at a set price (excluding VAT, site and foundation work costs). The prices have already been set in the course of the procurement and correspond to a construction price that is 25-per-cent lower. The Kombohus demonstrates to the market that it is possible to reduce construction costs and build housing at a lower cost where more people can afford to live. SABO has imposed high energy requirements (65 kWh in Climate Zone 3) for the price-pressured, framework-procured Kombohus. This is a very stringent requirement and construction companies have shown that they are coping with this while still delivering buildings at a lower price.
SABO’s Kombohus has been very well received throughout Sweden and has facilitated new building work to be carried out by member companies that have not built anything for a very long time. The forecast is that 11,000 new apartments in total will be built within the framework of the three procurements.
Kombohus Bas is intended to constitute supplementary housing, i.e. multi-dwelling buildings that can be built in existing residential areas to enable co-use of essential functions. The building may be erected with two to four floors, accommodate 8 to 16 apartments and have a lift. Buildings can be erected throughout Sweden at a fixed price of SEK 12,000 per m2 of useful floor space, excluding VAT, site and foundation work costs. The forecast is that approximately 3,000 new apartments will be built throughout Sweden.
SABO’s Kombohus Plus is a small tower block of five to eight floors, with the potential to locate business premises on the ground floor. The intention here is to facilitate the wishes of member companies to build close to urban centres. The building comprises a mix of apartment sizes, from one room and kitchen to four rooms and kitchen. Framework agreements have been drawn up with three different contractors to supply these buildings at a fixed price of SEK 13,000 per m2 of useful floor space, excluding VAT, site and foundation work costs. The forecast is that approximately 5,000 new apartments will be built throughout Sweden.
SABO’s Kombohus Mini has been produced based on the need for small, space-efficient apartments that could suit many different target groups, everyone from students to pensioners. The building may be erected with two to six floors and have apartments with one room (35 m2) or two rooms (45 m2). Framework agreements with three different contractors give SABO’s member companies the opportunity to construct a new building at a fixed price of SEK 14,000 per m2 of useful floor space, excluding VAT, site and foundation work costs. The forecast is that approximately 3,000 new apartments will be built throughout Sweden.
Kombohus Flex (movie)
SABOs Kombohus - forcing construction prices down.pdf
SABO Analysis - How SABOs Kombohus affect local housing markets.pdf
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